Tensions between Samsung Electronics' business divisions that surfaced during performance bonus negotiations have escalated into an internal power struggle within the labor union.
The development follows allegations of misconduct involving Choi Seung-ho, chairman of the Samsung Electronics branch of the cross-company union, and a no-confidence vote against union officials who raised the allegations. Friction with other unions has also added to the growing divisions within and outside the union.
According to the electronics industry on Thursday, the cross-company union moved forward with an electronic ballot on a motion to remove Vice Chairman Lee Song-i and Lee Won-il, head of Gwangju branch, over misconduct allegations against Choi. The grounds for removal cited "efforts to dismantle the union." If two-thirds or more of union members vote in favor by the 22nd, the motion will pass.
The vice chairman alleged that Choi used a card to pay 425.96 million won in union dues, privately acquiring the resulting miles and points. Although payments for two first-time reservations at L'Resort membership totaled 232.5 million won were split across corporate and personal cards, there is no record showing these benefits were transferred to the union.
It was confirmed that approximately 110,000 points were accumulated under Choi's name on 41 of 43 receipts for union items purchased at department stores. The vice chairman stated plans to request an investigation into these allegations.
Previously, the vice chairman publicly questioned the appropriateness of contracting a company operated by Choi's father-in-law for rally supplies. Both individuals belong to the DX (Device Experience) division.
At the beginning of this year, the union expanded its ranks by recruiting members from the DS and DX divisions ahead of wage negotiations. In April, it became Samsung Electronics' first majority union, with membership peaking at 76,000.
However, growing disagreements over compensation disparities between business units led to divergent negotiation strategies within the union.
Consequently, in May, Samsung Electronics Union Together (Together Union), primarily composed of DX division members, withdrew from the Joint Struggle Headquarters. Differences in stance between business units also triggered member defections. The proportion of DX division members within the cross-company union, once nearing 30%, has reportedly dropped to around 1% recently.
In response, the cross-company union is pursuing a reorganization centered on the DS division. It is amending its bylaws to restrict new membership eligibility to DS division employees and officials, effectively moving toward becoming a single union for the DS division alone. If the amendment passes, new memberships for DX division employees will be restricted. Critics argue that this weakens unity as a company-wide union, leaving only fragmentation.
The conflict is also spreading into disputes with other unions. On the 14th, the cross-company union sent a formal letter to the Together Union, alleging that violent and derogatory remarks targeting Choi and Samsung Electronics employees were exchanged in an internal chat room. The union demanded an apology and measures to prevent recurrence, also requesting preservation of chat records while hinting at potential legal action.
Although bonus negotiations have concluded, tensions over compensation disparities between business units remain. The Together Union is demanding additional compensation for the DX division and plans to hold a rally near Lee Jae-yong, chairman of Samsung Electronics' residence on Friday. As union interests diverge, observers predict further fragmentation within Samsung Electronics' unions.
An industry official said, "The union's original purpose of improving employee treatment and enhancing welfare has been sidelined, leaving only power struggles and exposés."
He added, "With various allegations of special privileges and controversies over pursuing private interests, even the moral integrity of the executive board is now wavering."
in INDUSTRY
